Washington, June 10 (SANA) Oil prices rose nearly 1% on Wednesday, recovering from seven-week lows after fresh U.S. strikes on Iran and another sharp drawdown in U.S. crude inventories heightened concerns over supply and regional stability.
According to Reuters, Brent crude futures gained 83 cents, or 0.9%, to $92.29 a barrel, while U.S. West Texas Intermediate (WTI) crude rose 68 cents, or 0.8%, to $88.97 a barrel.
The gains followed renewed military action by the United States against Iranian targets and came after market data showed U.S. crude stockpiles fell for an eighth consecutive week.
Sources citing data from the American Petroleum Institute (API) said U.S. crude inventories declined by 9.12 million barrels in the week ending June 5, while gasoline stocks fell by 1.19 million barrels.
Oil prices had fallen sharply in the previous session, with Brent closing at its lowest level since April 17 and WTI settling at its weakest level since May 29 after Israel and Iran halted exchanges of attacks following an appeal by U.S. President Donald Trump.
Market sentiment shifted on Tuesday after the U.S. military carried out new strikes against Iranian targets following the downing of a U.S. Apache attack helicopter, raising concerns about a renewed escalation between Washington and Tehran.
Meanwhile, gold prices fell more than 1%, reaching their lowest level in 11 weeks as a stronger U.S. dollar and rising oil prices increased concerns about inflation and the outlook for interest rates.
Spot gold dropped 1.8% to $4,187.59 per ounce, its lowest level since late March, while U.S. gold futures for August delivery fell 1.7% to $4,213.40 per ounce, according to Reuters.
Analysts said the stronger dollar made gold more expensive for holders of other currencies, while higher oil prices reinforced expectations that the U.S. Federal Reserve could keep interest rates elevated for longer.
Other precious metals also declined, with silver falling 1.5% to $64.43 per ounce, platinum losing 2.8% to $1,678.10 and palladium slipping 0.8% to $1,212.31.
The market moves came amid heightened tensions in the Gulf region and around the Strait of Hormuz, where investors remain focused on developments that could affect global energy supplies and broader financial markets.
N.J/ABD
